Monthly Archives: April 2012
Sadly Ironic: President Worries Over the Rights of Foreigners vs Americans
“Oh the irony! As our right to a fair trial, our right to live without possibly being assassinated by an out of control government, and our last shreds of privacy (if we indeed have any privacy in America today, which is highly debatable when one does the research) could be thrown out the window if over 3,000,000 corporations have their way, the glorious Obama administration is worried about the rights of those abroad.
Now, I don’t mean to be overly nationalistic, but shouldn’t we be a bit more concerned about the massive surveillance state being created in the United States?
With the National Security Agency (NSA) building a ludicrously massive data center the likes of which the world has never seen, the largest digital spying campaign in history to begin on July 12 thanks to our wonderful internet service providers and troubling technological developments like chips allowing mobile phones to see through walls and others which allow collection of location data with unprecedented precision, I think it is quite clear that the Obama administration (if they actually served us, which they clearly do not) should be focusing on the disturbing trends here at home.
Instead of working for the American people, our government is now setting their sights on the Syrian and Iranian governments for further destabilization and sanctions.
Obama outlined his new policies on April 23 during a lengthy 25-minute speech at the U.S. Holocaust Memorial Museum.
During this address he claimed that these policies would help the U.S. government respond to the threat of genocide around the globe in a more effective manner.
“National sovereignty is never a license to slaughter your people,” Obama said, which was already self-evident and painfully obvious. Even the staunchest proponents of national sovereignty (myself included) do not think that it is somehow a free license to commit genocide. Such a notion is patently absurd.
Indeed, if the U.S. government started using those hundreds of millions of rounds they recently acquired in a genocidal attack on the American people, I would hope that someone would step in. Although it is likely the case that in such a situation the government would rapidly become rabidly pro-sovereignty in an attempt to defend themselves.
However, does this mean we should intervene military every time someone is allegedly killed by a government across the entire earth? No, and our government clearly has no interest in doing so as they only step in when it is beneficial to them in one way or another.
During his speech, Obama also announced the formal creation of the “Atrocities Prevention Board,” which has a name fashioned in what has become the typical Orwellian fashion of the U.S. government (think the wholly un-patriotic USA PATRIOT Act and the “war on terror” which creates more terrorism than it fights).”
Comments »Most Active Options trades
-CALLS- OPTION EXP.DATE STRIKE PRC. VOLUME LAST S/PRC. NET CHANGE T 4/27/12 31.0000 3250 0.6200 up 0.4900 RHT 5/19/12 60.0000 1995 1.1500 dn 0.3500 AAPL 4/27/12 600.0000 1079 6.6100 dn 1.8900 KGC 5/19/12 10.0000 1021 0.1100 dn 0.0100 GLD 5/19/12 162.0000 955 1.5800 up 0.2200 F 7/21/12 12.0000 949 0.4200 up 0.0500 HGSI 5/19/12 17.0000 922 0.1800 dn 0.0300 BYD 5/19/12 8.0000 911 0.3000 dn 0.3000 SVU 5/19/12 7.0000 878 0.0500 up 0.0000 T 5/19/12 32.0000 818 0.2100 up 0.1400 -PUTS- OPTION EXP.DATE STRIKE PRC. VOLUME LAST S/PRC. NET CHANGE COP 5/19/12 70.0000 11162 0.8200 up 0.0900 COP 5/19/12 72.5000 6272 1.9000 up 0.1800 TIBX 8/18/12 29.0000 2890 1.3000 up 0.2000 COH 5/19/12 70.0000 2003 1.6000 up 0.6000 NFLX 4/27/12 85.0000 1991 1.2500 dn 0.4500 SIRI 5/19/12 2.0000 1500 0.0300 dn 0.0200 NFLX 4/27/12 80.0000 1314 0.3800 dn 0.4900 MS 5/19/12 15.0000 1075 0.1400 dn 0.0200 CHK 1/19/13 35.0000 969 17.2100 dn 0.3400 CHK 1/19/13 30.0000 888 12.6500 up 0.0500 -VOLUME- CALLS PUTS TOTAL 215519 194193 409712
-CALLS- OPTION EXP.DATE STRIKE PRC. VOLUME LAST S/PRC. NET CHANGE GRPN 4/27/12 15.0000 200 0.0200 dn 0.0300 JPM 4/27/12 46.0000 200 0.0100 dn 0.0100 AAPL 4/27/12 600.0000 183 7.7200 dn 1.0300 T 5/19/12 32.0000 135 0.2500 up 0.1800 NFLX 4/27/12 135.0000 130 0.0100 dn 0.2800 AMGN 7/21/12 75.0000 109 0.4700 up 0.0200 GRPN 4/27/12 16.0000 100 0.0300 dn 0.0200 GRPN 4/27/12 14.0000 100 0.0300 dn 0.0200 JPM 4/27/12 47.0000 100 0.0100 dn 0.0200 JPM 4/27/12 45.0000 100 0.0300 dn 0.0100 -PUTS- OPTION EXP.DATE STRIKE PRC. VOLUME LAST S/PRC. NET CHANGE AMGN 5/19/12 65.0000 603 0.4900 dn 0.0600 GRPN 4/27/12 8.0000 200 0.0200 dn 0.2300 CHK 4/27/12 15.0000 200 0.0500 dn 0.0200 LVS 4/27/12 52.5000 170 0.5000 up 0.1900 LVS 4/27/12 50.0000 160 0.1500 up 0.0200 AMGN 5/19/12 67.5000 144 1.1500 dn 0.0800 T 5/19/12 31.0000 116 0.1800 dn 0.4500 GRPN 4/27/12 9.0000 100 0.0300 dn 0.0200 GRPN 4/27/12 7.0000 100 0.0300 dn 0.2200 CHK 4/27/12 16.0000 100 0.1100 dn 0.0600 -VOLUME- CALLS PUTS TOTAL 14959 12494 27453Comments »
Consumer Confidence: Prior 70.1, Market 69.5, Actual 70.2
Government Subsidies Gone Wrong
Senior Official in the State Department: ‘War on Terror is Over’
“In the wake of the Arab Spring, the Obama administration is grappling with how to handle Islamists, radical adherents to Islam. Particularly, the issue has come to the fore in regards to Egypt, which, as Reuel Marc Gerecht notes, “is now certain” to elect “an Islamist” as its leaders the next time the Egyptian people go to the polls.
But some in the Obama administration are now seeing things differently.
“The war on terror is over,” a senior official in the State Department official tells the National Journal. “Now that we have killed most of al Qaida, now that people have come to see legitimate means of expression, people who once might have gone into al Qaida see an opportunity for a legitimate Islamism.”
This new outlook has, in the words of the National Journal, come from a belief among administration officials that “It is no longer the case, in other words, that every Islamist is seen as a potential accessory to terrorists.”
The National Journal explains:
Comments »The new approach is made possible by the double impact of the Arab Spring, which supplies a new means of empowerment to young Arabs other than violent jihad, and Obama’s savagely successful military drone campaign against the worst of the violent jihadists, al Qaida…”
Is the Era of Cheap China Coming to an End ?
“Rein is managing director of China Market Research Group, a strategic market intelligence firm with clients like Apple, DuPont and Kentucky Fried Chicken.
His thesis: “China’s evaporating cheap labor pool will disrupt supply chains and consumption habits around the world. Executives and policymakers need to prepare ahead of the curve, to evolve and take advantage of the changes — or else face extinction.”
The country’s unfettered growth and influence — billionaires now outnumbering their American counterparts — already reverberates through international markets.
Rein arrived in China in the 1990s. Now, unlike the 1990s, job opportunities are no longer scarce. The country’s twentysomethings are hopeful about their futures and career prospects. Their optimism is bolstering China’s consumers and workers, both of which demand American-style lifestyles. China’s middle class — 350 million and growing — want a piece of the good life, he says.
To satisfy China’s growing consumerism, foreign corporations are no longer operating in China as a lower-cost production center.
“Some companies cope with the End of Cheap China by building brands and charging more for their products; others by consolidating market share and becoming a volume player; and still others by converting factories to sell within China and other emerging markets,” Rein writes.
While China is an easy target for protectionists, many American businessmen hope to penetrate an expanding market and make customers of millions of Chinese with more money to spend. To those U.S. executives, China’s economic rise will create thousands of jobs for all kinds of companies in the United States.
Rein combines elegant writing and a methodical research. Years of working in China have given him access to important players. Incisive interviews with billionaires, business executives, government officials, and migrant workers guide the pulse of the narrative.
Each chapter concludes with strategic questions about “what to do and what not to do in China.” But the book is not a clear road-map to correcting the disruption he foresees. He leaves it to readers to answer many questions.
The main question still to be answered: Will China’s power and influence benefit or undermine the U.S. economy?
Rein’s exposé on the dawn of a new China is essential reading for anyone curious about globalism and the dynamism of the international economy.”
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EU Break Up Plans Have Been Drawn; Said to be a Safety Precaution
“(MoneyWatch) As anti-EU sentiment intensifies across Europe, nations and financial institutions are making plans about what to do if the already frayed union shrinks, or even splinters.
France and Germany this week are presenting a plan to ensure that governments keep the right to impose national border controls within the EU. In another sign that local officials are preparing for what could be convulsive changes within the union, the European Investment Bank is now requiring that all contracts with Greek entities include repayment guarantees in case Greece leaves the EU. It also intends to do this with other financially troubled nations.
The EIB, which is funded by the 27 EU members, earlier this month began inserting so-called “drachma clauses” in all contracts with Greek borrowers. These clauses allow for renegotiation of contracts should Greece leave the eurozone or should the common currency area break up. They also place the agreements under English — not Greek — law in case of any problems with the payback process.”
Comments »Tensions Flare Up in the South Pacific Over Oil and Gas Reserves
Chris Whalen: Fed’s Policies Have Been ‘Hideous’ for Economic Recovery
“The Federal Reserve’s loose monetary policies have been “hideous” for recovery and will do more harm to the economy than good, says investment banker Christopher Whalen.
“Since the downturn, the Federal Reserve under Chairman Ben Bernanke has cut interest rates to near zero and pumped $2.3 trillion into the economy via buying bonds from banks to stimulate the economy.
The Fed has also reshuffled its Treasury portfolio to even further ensure long-term interest rates stay low.
Critics say such policies will only fuel inflationary pressures down the road and haven’t created more investment and hiring that they were supposed to do in the first place.
Plus the rise in food and oil prices, critics also charge, stems in part from all of that excess liquidity finding its way into commodities markets.
“That’s a hideous, hideous policy mix because it hurts the people in our economy with the lowest incomes. They see it at the grocery store, they see it in inflation for basic goods,” Whalen tells Newsmax.TV in an exclusive interview.
“We need to have a much more honest conversation about the tradeoff between inflation and real growth,” says Whalen, co-founder and vice chairman of Lord, Whalen LLC, parent of Institutional Risk Analytics, the Los Angeles-based provider of bank ratings, risk management tools and consulting services for auditors, regulators and financial professionals….”
Comments »James Murdoch Blames Employees for Hacking Scandal
Tech Billionaires Plan to Mine Asteroids
Google, $GOOG, Rolls Out Another Service to Compete Against Facebook
AT&T, $T, Reports Better Profits as iPhone sales Drop
Case Shiller Home Price Index Shows Widespread Declines
FLASH: APPLE IS GET LIT UP
down 13+ ahead of earnings this afternoon.
Comments »Gapping Up and Down This Morning
Gapping up
ALGN +14.4%, AMP +3%, VLTR +2.4%, TXN +2.3%, BHI +1.8%, AAPL +1.1%, R +8.5%,
HXL +6.5%, X +4.9%, HSY +3.5%, AMP +3%, VLTR +2.4%, CSL +2.4%, UTX +1.6%, ITW +0.7%,
TXN +2.3%, MMM +2.3%, T +1.9%, PH +1.9%, BHI +1.8%, RF +1.8%, STO +1.5%, E +1.4%, BP +1.1%,
GOL +16.2%, ALVR +11.4% , RMBS +4.9%, SQNM +2.1%,
Gapping down
NFLX -14.6%, SANM -5%, NOK -2.5%, ING -1.9%, NVS -1.3%, NOK -2.5% , AAPL -1%
SYMC -11.5%, RSH -10.4%, WAT -10%, SANM -5%, ZION -4.8%, ARMH -4.1%, COH -2.4%,
DB -2.3%, ING -2.1%, RBS -1.7%, STD -0.8%, CXW -13.5% and GEO -2.9%, CMG -1.1%
Comments »U.S. Equity Preview: $MMM, $T, $BIG, $HMA, $ILMN, $NFLX, $TXN, $USTR, & $UTX
“3M Co. (MMM) increased 3.2 percent to $89.89. The maker of Post-It notes and fuel system tune-up kits reported first- quarter earnings excluding some items of $1.63 a share, beating the average analyst estimate of $1.49.
AT&T Inc. (T) rose 0.5 percent to $30.77. The largest U.S. phone company posted first-quarter earnings that beat analysts’ estimates after wireless subscribers spent more on browsing the Web, downloading video and sending e-mail.
Big Lots Inc. (BIG) plunged 14 percent to $39.20. The discount retailer cut its U.S. comparable-store sales forecast for the fiscal first quarter to “slightly negative,” compared with a previous estimate for an increase of as much as 4 percent.
Health Management Associates Inc. (HMA) : The operator of acute-care hospitals had first-quarter adjusted earnings and revenue that exceeded the average analyst projection.
Illumina Inc. (ILMN) : The U.S. maker of DNA-mapping tools that fought off a hostile takeover bid from Roche Holding AG had first-quarter adjusted earnings and revenue that exceeded the average projection of analysts surveyed by Bloomberg. The company also said it would repurchase $250 million of its shares.
Netflix Inc. (NFLX) plunged 15 percent to $86.74. The world’s largest video-subscription service projected a slowdown in growth of U.S. streaming customers.
Texas Instruments Inc. (TXN) gained 3.6 percent to $33.05. The largest maker of analog semiconductors forecast second-quarter earnings that may top some analysts’ estimates as customers stock up on electronic parts ahead of a projected rise in demand.
United Stationers Inc. (USTR) : The Deerfield, Illinois- based distributor of business products had first-quarter adjusted earnings of 45 cents a share, surpassing the 42-cent average projection of analysts surveyed by Bloomberg.
United Technologies Corp. (UTX) advanced 1.4 percent to $80.85. The jet engine maker said first-quarter profit exceeded analysts’ estimates as earnings at its climate, controls and security unit increased and the company received a larger tax settlement than it predicted from the U.S. government.”
Comments »Upgrades and Downgrades This Morning
“Allison Transmission Holdings, Inc. (NYSE: ALSN) Started as Neutral at Credit Suisse; Started as Neutral at Goldman Sachs; Started as Neutral at Citigroup.
AutoZone Inc. (NYSE: AZO) Raised to Overweight at JPMorgan.
Big Lots Inc. (NYSE: BIG) Cut to Hold at Deutsche Bank.
Check Point Software Technologies Ltd. (NASDAQ: CHKP) Maintained Hold at Argus.
Chipotle Mexican Grill, Inc. (NYSE: CMG) Cut to Neutral on valuation at Credit Suisse; Reiterated Buy with $480 target at Argus.
Citi Trends, Inc. (NASDAQ: CTRN) named Bear of the Day at Zacks.
Demandware, Inc. (NYSE: DWRE) Started as Buy at Deutsche Bank; Started as Outperform at William Blair; Started as Outperform at Oppenheimer; Started as Neutral at Goldman Sachs.
General Electric Co. (NYSE: GE) Reiterated Buy with $22 target at Argus.
Illumina, Inc. (NASDAQ: ILMN) Reiterated Buy with $54 target at BofA/ML.
LinkedIn Corporation (NYSE: LNKD) Started as Overweight at Piper Jaffray.
Pep Boys-Manny, Moe & Jack Inc. (NYSE: PBY) Cut to Sell at Argus.
Rambus Inc. (NASDAQ: RMBS) Raised to Overweight at JPMorgan.
Texas Instruments Inc. (NASDAQ: TXN) Reiterated Buy with $36 target at BofA/ML.
UnitedHealth Group (NYSE: UNH) named Bull of the Day at Zacks.
Xerox Corporation (NYSE: XRX) Reiterated Buy with $13 target at Argus.”
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